Home Page ContentPress Releases Broadband Equipment Spending Increased 7 Percent Y/Y, Despite Signs ofSlowing Subscriber Growth

Broadband Equipment Spending Increased 7 Percent Y/Y, Despite Signs ofSlowing Subscriber Growth

by Anthony Weaver

According to Dell’Oro Group

Total CPE Unit Shipments Dropped 7 Percent Y/Y, as Operators Correct
Inventories

REDWOOD CITY, Calif. – June 9, 2023– According to a recently
published report from Dell’Oro Group, the trusted source for market
information about the telecommunications, security, networks, and data
center industries, total global revenue for the Broadband Access
equipment market increased to $4.6 B in 1Q23, up 7 percent
year-over-year (Y/Y). Spending on infrastructure remained robust.
However, ONTs. Modems, and other CPE units to connect broadband
subscribers, dropped 7 percent Y/Y.

“For many service providers, broadband subscriber growth is slowing,
resulting in a reduced need for new CPE,” said Jeff Heynen, Vice
President with Dell’Oro Group. “Meanwhile, infrastructure purchases
are strong as providers continue to expand their footprints and replace
legacy copper networks,” explained Heynen.

Additional highlights from the 1Q 2023 Broadband Access and Home
Networking quarterly report:

  * Total residential Wireless LAN units were up 5 percent Y/Y, marking
the first Y/Y increase since 1Q 2021. Consumers are finally increasing
their purchases of Wi-Fi 6 and Wi-Fi 6E units after last upgrading back
in 2020.
  * Total cable access concentrator revenue was up 4 percent Y/Y at $265
M. Remote PHY devices, Remote OLTs, and Virtual CMTS platforms all
recorded significant revenue gains for the quarter, as cable operators
continue to expand their DAA and fiber initiatives.

ABOUT THE REPORT [2]

THE DELL’ORO GROUP BROADBAND ACCESS AND HOME NETWORKING QUARTERLY
REPORT [3] PROVIDES A COMPLETE OVERVIEW OF THE BROADBAND ACCESS MARKET
WITH TABLES COVERING MANUFACTURERS’ REVENUE, AVERAGE SELLING PRICES,
AND PORT/UNIT SHIPMENTS FOR CABLE, DSL, AND PON EQUIPMENT. COVERED
EQUIPMENT INCLUDES CONVERGED CABLE ACCESS PLATFORMS (CCAP) AND
DISTRIBUTED ACCESS ARCHITECTURES (DAA); DIGITAL SUBSCRIBER LINE ACCESS
MULTIPLEXERS ([DSLAMS] BY TECHNOLOGY VDSL, VDSL PROFILE 35B, AND
G.FAST); PON OPTICAL LINE TERMINALS (OLTS), CABLE, DSL, AND PON CPE
(CUSTOMER PREMISES EQUIPMENT); FIXED WIRELESS ACCESS (FWA) CPE; AND
RESIDENTIAL WLAN EQUIPMENT, INCLUDING MESH ROUTERS. FOR MORE INFORMATION
ABOUT THE REPORT, PLEASE CONTACT DGSALES@DELLORO.COM.

ABOUT DELL’ORO GROUP [4]

Dell’Oro Group is a market research firm that specializes in strategic
competitive analysis in the telecommunications, security, enterprise
networks, data center infrastructure, and network security markets.  Our
firm provides in-depth quantitative data and qualitative analysis to
facilitate critical, fact-based business decisions.

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